No matter who we are, we all have to find a way to live within our means. It doesn’t matter whether our finances allow for annual overseas holidays or require us to keep a careful eye on our grocery bill – almost no-one has unlimited funds to spend.
Over the years, our family income has varied quite a lot – from our reasonably flush late twenties, when we were childless and both working professional jobs; to our mid-thirties, when it all came crashing down with retrenchment and cancer. It took us a long time to figure out how to live within our means, but as we approach our fifties, it feels like we’ve finally got it sorted.
Here are a few life lessons we’ve learnt along the way…
Be prepared for an emergency, because one will come up
When we were young and bulletproof, we thought statements like this were melodramatic and alarmist. But as we now know only too well, life can literally pull the rug out from under our feet in a heartbeat. It’s almost impossible to anticipate the unexpected, but we can be just a little prepared for it, at least financially.
The conventional wisdom espoused by financial planners is to stash away three to six month’s worth of living expenses as a contingency fund. That’s a great goal to aim for, but much harder to achieve in practice – if a family is barely meeting their monthly expenses, how do they find three times that amount to tuck away? The answer is: slowly and incrementally. I have friends who prepare for emergencies by ensuring they have adequate credit on their mortgages – it works well for them. Either way, having some access to funds when a crisis hits can avert potential disaster, or at least soften its blow.
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Save whatever you can on recurring expenses
Saving on a one-off expense (new car, holiday) is great, but finding ways to save money on the stuff we buy every day/week is the true secret (in my opinion) to living affordably. And if it’s done creatively, it can be both painless and empowering.
My friend Smidge wrote an excellent blogpost comparing her two local supermarkets. There was a cost difference of 16% between them, and that was for the same products from both stores – she wasn’t comparing brand names to generic labels. She found she could make a saving of $56 in just a few weeks’ worth of purchases – over a year, that’s a saving of over $800 (and that’s after-tax money).
By contrast, John Birmingham of the Sydney Morning Herald wrote about his $4000 a year takeaway coffee habit. I know that sounds crazy, but in Sydney prices, that’s equivalent to just two or three coffees a day.
Saving money like this takes a little thought and planning, mainly because we need to undo all our unconscious spending habits. For example, until we started making our own, it had never occurred to us that buying yoghurt was an expense we could save on. These days we make two litres a week for just $1/L, a saving of $10 each week, or $520 a year. And that’s just on yoghurt. By baking our own bread, we save about $1,000 a year (and we’ve been doing that now for over seven years).
Taking a good hard look at where the money goes isn’t always a pleasant process, but it can be very enlightening. There are a multitude of ways to trim dollars from our regular expenses, but sometimes it just doesn’t occur to us that it’s possible. It takes a little bit of lateral thinking, but it’s surprising how quickly the savings can add up. For example, $4 for a cappuccino might seem like nothing (it’s just two small coins), but one a day will amount to nearly $1,500 a year. I’m certainly not saying a daily coffee is a bad thing, but it’s important to be aware of the cumulative cost of all these seemingly little things.
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DIY – Make it, Bake it, Grow it
I know our individual life circumstances are all different, and not everyone has the time, space, or inclination to make things from scratch. The last thing I ever want to do on this blog is to make anyone feel bad – the way we choose to live our lives works for us, but it might not be right for you.
Having said that, our key to living within our means has been to make as much as we can from scratch. Doing so has allowed us to provide ethically-sourced, premium quality food for our sons, while keeping to a workable budget. Again, we’ve had to be resourceful to do this – we’ve tracked down wholesale suppliers of grassfed and free range meat, learnt to grow edible crops, and experimented with recipes. It all takes time, but it’s worth it.
More importantly, every little bit of it is worth it. That’s one of the main reasons I write this blog – I don’t expect anyone to try all the different things we attempt, but I know that even just one thing – be it baking your own bread or growing herbs – can be incredibly empowering.
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Make your own gifts
Even though this probably belongs in the point above, Pete thought it was important enough to warrant its own heading. First world gift-giving can get crazy – I have a friend whose Christmas shopping for her family alone costs her thousands of dollars every year.
These days, we buy very few gifts. Most are now homemade, and in the past couple of years, they’ve almost always been chocolate (even as a 50th birthday present).
Over the past twenty years, we’ve made polarfleece beanies, beeswax candles, crystal jewellery, fruit cakes, cookies, Christmas decorations and jams as gifts. None of these items used “cheap” ingredients, but they were all reasonably economical to make, particularly compared to buying the finished item. In addition, they were unique, made with care, and greatly appreciated by the recipients.
Mastering one skill well – be it sewing or baking or basketweaving (or just about anything else) – will enable you to create unique gifts for your friends and family that will make them feel loved. You’ll also save some serious dollars in the process!
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Explore free and discounted services
Libraries. Parks. Art galleries. Our cities are filled with thrilling and exciting things which cost absolutely nothing. I’m not a particularly good library user (as I prefer all my books in electronic format), but thanks to my friend Roz, I’ve become a keen art gallery visitor. With the Sydney Biennale just around the corner, it’s going to be an exciting year in my city. What’s happening in yours?
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Patience and perseverance
Achieving an affordable lifestyle isn’t a result of luck. And it certainly isn’t an automatic byproduct of a large income – some of the highest salaried folks I know struggle with their cashflow.
Rather, it’s about patience and perseverance. Patience to save up and wait for things rather than having them immediately, and the perseverance to keep plugging away at it; saving a few dollars here, figuring out a smarter way to do something, and tucking a little bit away for a rainy day. And if there’s one thing I’ve learnt over my thirty years of adulthood, it’s this: it all adds up. The little changes, the frugal mindset, being consistent in watching the dollars – it doesn’t amount to much in a few weeks or months, but over the course of years, it can make a huge difference.
Achieving financial equilibrium – finding that sweet spot where our expenses don’t exceed our income – can lead to a less anxious, more contented lifestyle. It’s definitely something worth working towards!
Fig Jam and Lime Cordial 
Fig darling, this is a fantastic post, I agree a million times with everything. And just that one decision, to spend a little less than what you earn every week so you can save a little for the hard times.. OH how I wish everyone understood that. Credit cards wreak dreadful damage. If we all had to use cash, we would spend less.. period, I truly believe that. To spend more than what you earn is madness.. great post.. c
What I’ve noticed is that it doesn’t matter how much money people make, if they can’t live within their income, they’re always anxious and stressed. And sometimes that income is enormous! You’re so right about credit cards Celi, they can be very dangerous.. xx
good for booking flights to aussie tho!!
See, that’s the catch. It’s almost impossible to travel anywhere without one! You can’t book flights, hotels or hire cars without a credit card! :)
I know, damned if you do damned if you don’t. c
Wonderful post Celia! What great advice from someone who has such practical experience and can show how living this way can be full and fulfilling no matter what your income. You are such an inspiration sweetie, thankyou for sharing your journey with us xox
Thanks Becca darling, you’re always so kind! xx
I love making my own things, it is as you say extremely empowering and makes wonderfully appreciated gifts. However I am shocking at saving and the intention to improve on that is my fiscal goal of the year. I know I can do it, but its the tracking part to start that has me struggling. But I will manage to put away my rainy day fund, by the end of the year. I really enjoy reading your posts even though I’ve just found your blog. Thank you :)
Good for you, Deb! I hope your plan goes well this year, and you get some funds tucked away! :)
Very well written and resourced Celia! Thank you for the reminder. A few of the things we do toward a more conscious lifestyle are: grow our own herbs and citrus (in season), usually make food as gifts, or when buying choose things like plants or edible consumables, cook most of our own meals at home when not traveling, only buy coffee or tea out when it is a ‘coffee date’, buy laundry detergents and other household items on sale, and I’m sure there are others, too boring to mention! xx
Ardys, not boring, it’s wonderful to hear what others are doing! I like to give consumables as well whenever I can – it’s good not to add too much to our already cluttered lives!
Yet another truly inspiring post Celia. I have been amazed at how little I spend (in comparison to the ‘old days’ ) on groceries etc these days since I started to make and grow a lot of my own. I am also a big believer in avoiding the commercialisation of Christmas by trying to hand-make as much as possible. Some great advice here.
Tania, it’s amazing how much comes out of the garden once it starts producing, isn’t it? And you’re right about Christmas, it really has gotten over the top, but it’s nice to be able to offer a personal gift instead.. xx
Fantastic post. My family has a love of exhibitions (yes – even the teenagers). Usually minimal cost, but quite often free! This past Christmas, my daughter gave her brother the wonderful gift of escorting him and his best friend to a gaming exhibition at the Powerhouse Museum. It wasn’t expensive, and by going on a Sunday, they all got to utilise the $2.50 train fare (which entitles you to free public travel all day). The 3 of them also ended up going on an impromptu ferry trip to Manly for an icecream as well (bought as a box pack from the supermarket, rather than 3 x icecreams at over $6 each at an ice creamery). Great day, minimal cost.
I’d love to know where you go for your free range and grass fed meat. We’ve been purchasing straight from the farm for a couple of years and unfortunately our twice yearly stash became ruined when the freezer door was accidentally left open. The usual suppliers just don’t offer the same quality at anywhere near the price we’re used to… :(
Hi Tania, sounds like your kids are well on their way to managing their future finances! :) We buy most of our meat from Haverick Meats in Banksmeadow – they’re only open on Saturday mornings, but the range and pricing is wonderful. All their pork is free range, they have Grasslands beef, and free range chickens whole or in pieces. They also have Junee free range lamb that’s absolutely delicious. So sorry to hear about your freezer, that’s a big loss…
https://figjamandlimecordial.com/2011/08/17/haverick-meats/
G’day and really enjoyed your post Celia as it is a great reminder to all, true!
For me recently, buying the Thermomix has saved HEAPS on my time and grocery bill…the machine called Thermalina has already paid for itself too!
So economical; great for any budget and glad your post today, I did not miss!
Cheers! Joanne
Joanne, how wonderful that you get such good use from your Thermomix. I have two friends who paid nearly $2K each for theirs, and neither of them ever use it! :)
Great post Celia. When I was working, I always spent less than I earned for two reasons, so I didn’t have to earn that much and so I could finish working.
You’re a very wise lady, Glenda! :)
If only, Celia :)
i’m endlessly badgering my children about saving..unfortunately they all seem to struggle to live within their means..i was only able to retire because i did the things you talk about..i agree that it’s the regular smaller things that add up and that can go unnoticed..for instance when i worked i saved $2400/annum on parking by walking from where i parked my car (an hour each way) and not parking in the car park at work..
Jane, a two hour walk every day is impressive! But what a saving – and that’s post-tax money too, you’d have to earn a lot more than that to pay for it! :)
I love this post Celia. I have gone through a few stages of money management myself – from being a PhD student where I literally counted every dollar; to getting my first job with an income that sounded great, but coincided with moving into my first home and having a massive jump in expenses, so that my income and expenses were pretty much exactly matched (no saving!); to now, when I am in that pre-children, two incomes phase where we can be a bit more relaxed – but are mindful of trying to save for ‘the future’. This post summarises some things we do and some we could benefit from incorporating, and it’s something I think everyone would benefit from reading!
Kari, it’s a lovely stage of life, enjoy! How great that you already have your first home! :)
Hi darling, this is an excellent post that everyone should read… yes, OMG, life can certainly pull the rug out from under you… as we well know. I, too, have been retrenched in a former lifetime… and then other bad business comes along to join the party!
You have shared some very sage advice here, Celia… and timely for us, as we have just retired from full time work.
Just this morning Peter and I were talking about the difference in prices between Coles and Aldi, both of which are three minutes away from our home… rather than shopping weekly or fortnightly, which results in an amount of wastage, we now shop daily and buy only what we need, after we’ve been to the gym.
Being in our 50s, we have every THING that we could possibly need, and more… shoes, books, clothes, kitchenware etc etc… so we are looking at ways to rein in the spending.
Anyhoo, after scribbling down my long-winded thoughts, just wanted to thank you for sharing your wisdom xo
Lizzy, thank you for sharing your thoughts. It’s interesting how we figure out what works for us individually – at our current stage of life, we do the exact opposite – shop in bulk and try to avoid the regular supermarket trips! But I can see that all changing when the boys move out and we’re no longer feeding wolves! :)
What a wonderful post and outlook on life you have Celia. Yes, have had the rug pulled from under me, but, you survive and realise what’s really important.
thanks for sharing your wisdom. Jody
Jody, thank you for reading! :) I’d never wish for them, but I’m sure hard things happening actually do us a lot of good in terms of, as you say, teaching us to appreciate what’s really important.
So true and how wonderful it is when someone like you is willing to share their wisdom.
As part of my retirement my superannuation advicer asked me how much we need to live on each year. You know, I had no idea. So we did the sums and now we are carrying out the research to see if our research is accurate. So it was interesting to read your advice, because there are certainly things that we can cut back on without really affecting our life style. But it certainly helps to have no mortgage and no kids!
Anne, kids and mortgage are the big expenses, but our sons are nearly adults now, so they don’t cost as much as they used to! Well, except in terms of food – they still eat like wolves! :)
Just as well you grow and make so much of it yourself!
Great post :)
I was amazed at how much I could save by making my own bread. Some of the sourdough I had been buying was $7 a loaf – I can make the same size loaf for 75c! The economic benefits stand alone as reason enough to switch to homemade but it’s also healthier and a lot more fun to make your own.
A little bit of extra effort from time to time can really save a lot of money. I convinced my family that making ice cream en masse was saving money. I think it saves a bit but I’m not sure that’s actually why I make it…
AJ, over the past seven years, I reckon we’ve saved between $7000 to $10,000 on bread alone (it’s hard to say exactly, as I’m not sure if we’d have kept buying artisan loaves if we were paying for them every week). Ice cream en masse sounds like a plan.. :)
It’s just remarkable how much it saves! Plus I got to discover how fun bread making is.
I am about to make a massive batch of mango ice cream – got to cope with harsh Australian heat somehow! :)
My biggest cost saving in the past year has been making my own laundry washing liquid and general household cleaning spray. And if I can make it, as someone with a wandering attention span and little patience, anyone can!
Vanessa, that’s a great idea! I’ve only done that a couple of times, but they worked really well!
I love your blog, and today’s is particularly relevant to me. I am 53 and now working part time, and finding I have to find ways to make ends meet, rather than be robbing peter to pay paul! I am making my own bread, yoghurt, and supporting local producers, although sometimes it is dearer to do so, but I know they don’t have GM and a gazzillion herbi/pesticides happening.
Lorelle
Lorelle, it’s wonderful when we can use the savings we make in other areas to pay for the things that matter to us, such as better quality local ingredients! :)
A wonderful, wise post Celia and that everyone should read! Baking, growing and making is very empowering I agree. It feels good to take control of certain aspects of our lives…and for some of us that starts with bread, yoghurt, vegetables and so on.
I couldn’t agree more that Christmas spending is completely out of control. Even with young children we keep our spending minimal and I make a lot of food gifts. I would prefer to teach our children that our spending has limitations, even at Christmas time.
Patiently waiting for ‘things’ until you can afford them can actually be rewarding I think. Far more rewarding than having everything, immediately. Just a few thoughts! x
I love your thoughts, please share more! :) Thanks for understanding what I was trying to say – living within our means isn’t about being tight-fisted or stingy, but rather about making sure we don’t spend more than we have. And we can do so much with just small changes – I like to try and put dollar amounts on things so I can wrap my brain around it all – if we save $1500 a year just on bread and yoghurt, we could (if we wanted to) use that money to have a good dinner out with the boys once a month and still break even. It’s all swings and roundabouts. :)
A very thought provoking post! My husband and I had times of ‘plenty’ as well as several very ‘lean’ times. We learned so much from the lean times and we, actually, felt closer during those times than in the times of plenty. I always felt proud with what I was able to accomplish during the lean times, as I imagine you are with living within your means. I wish we’d all go back to the times when most gifts were homemade/handmade. I give you and your family so much credit for your life style – YOU GO GIRL !!
Cecile, thank you! Every time we figure out a way to make something new, we get such a buzz! I’m so glad you understand! :)
Very wise words, Celia! We are guilty of the bullet proof mindset, and living in the inner west are surrounded by seemingly bullet proof hipster youth. But even so, I know there are things we can and should do to reduce unnecessary expenses, and still have just as much (if not more) fun along the way.
Saucy, not “guilty”, that’s just a product of not being old! :)
Oh, my… I step away from my computer for a day and look what I’ve almost missed:) I’m so glad you like my post and created a post that extends beyond my thoughts. It was very interesting reading your reader’s comments as well! You’re so right about those expensive coffees, I have myself down to one a week on Fridays now, the rest I make at home. Also.. Christmas this year I gave everyone a hand-made calendar with a small food item and they were as well received as if I’d spent tons on a store-bought gift. It’s a slow process and old habits die hard, don’t they? Just today I was thinking about going clothes shopping.. and had to remind myself that my goal is to be frugal and I really don’t need more clothes than I already have:) The biggest satisfaction has been setting the example for my kids, they’ve begun to pick up on the “frugal” possibilities in their lives now.
Smidge, it was a great post! I think we all tend to spend money unconsciously – it sifts through our fingers a bit – but it’s amazing how much we can save if we just think about it a little bit! And you’re so right about the kids – it’s very important to me too that we model a sustainable (in all meanings of the word – financially, emotionally and environmentally) way of living for them. :)
You’re right.. emotionally and environmentally is a good topic for another post! There’s so much to say on this subject. I only touched on it, but there are rumors Walmart doesn’t treat their staff well. But I wonder what Superstore pays theirs? Have a lovely Sunday!! xx
Great post Celia and I really agree with saving in case of emergency. You always hope that it won’t happen but it can and often does happen! Mr NQN has a coffee every day but I also make his lunch Monday to Thursday so I think that’s fair enough :) He’s a much better saver than I am too!
You make his lunch four days a week? You’re a star! :) I didn’t mean to make people justify their coffees – it was just an example that came up. For some people, it’s an important part of their day, and definitely worth the small expense, but for others it’s just something they do out of habit.
Thank you for sharing Celia! I’m reading your words and ‘nodding’ in agreement.I was taught at a young age to make our own yoghurt. My PT son loves it better than store bought! I have 2 grown sons (23 & 21) who still live with us and the youngest, 9. So I can fully understand how saving can affect expenditure needed to feed, clothe & nurture your family wisely.I invested in a coffee machine last year ($50 brand new) & a coffee grinder plus a $30 bread machine! .I only purchase specials & we buy bulk meat every 5 months. Every dollar counts so I’m putting $4 in a jar each day(as I only drink one cup of coffee a day) to say how much is saved at the end of the year.When others in family have one too, I encourage to put $4 in too. Just to prove a point.These last 2 months we ate and are still eating Tomatoes, chillis, oregano, potatoes, mint & soon passionfruit from our garden! We are really blessed! (sorry had to share.)
Lina, you’re a very smart shopper – a coffee machine for $50 and a $30 bread machine! Good for you! You’ll have enough saved in your jar for an airfare by the end of the year! :) So glad to hear that everything is going well and you’re feeling blessed! xx
I really appreciate all you had to say and your excellent suggestions. I often wonder at why more people aren’t tuned in to the many free and very low-cost museums, galleries, libraries, Botanical gardens…there are always “free days” and discounts. Lately we’ve found a few movie theaters that offer incredible deals if you’re flexible on when you can visit. I enjoy your perspective.
I wonder if because they’re free, we tend to take them for granted? Movie deals are great here too – we can buy very cheap tickets from our health insurance funds (which is an odd perk, but a longstanding one)! :)
Great post Celia, hubby and I don’t have kids but we try to save where we can but still enjoy life. We bring lunch most days then don’t feel so guilty buying coffee now and then. We stock up on things like dishwashing liquid, soap, toilet paper when they are on sale (learnt from my parents) and fresh food we buy every couple of days so we use everything we buy. As refugees to Australia money was tight for my parents and they both worked so hard to provide for my siblings and I, it wasn’t until I was an adult that I really understood and appreciated their sacrifices. It was from them that I learnt about spending what you have and saving for things and always having emergency money, it is true that you never know what is around the corner.
Stefanie, you should never feel guilty! :) I’m so impressed when people pack a lunch for work – when I was younger, I never did that! Your parents sound amazing, but what a tough time they must have had.. x
A very wise post indeed.
I have been managing on the Aged Pension for 3 1/2 years now. Unexpected expenses happen of course, most recently a $95.00 vet bill to euthanise my 18 year old cat this week. My bank card comes to the rescue at these times. In fact I often use it then come home to transfer funds electronically I never carry much cash and actually find this process reduces any unplanned spending. I might add that I have not paid 1 cent of interest on it in 3 1/2 years and have become too much of a scrooge to do so ever. I do however ‘borrow’ from my Bills A/C on occasion; but never to the point where I can’t pay the bills.
I’ve been making my own pasta and bread for awhile now; with aspirations to try making sour dough. I try to do things from scratch as much as possible, avoiding packets and extra expense. Your blog has inspired me to grow vegetables even though I live in a unit with minimal space. Living alone I tend to cook and freeze.
My budget is a work of art (how immodest of me) that I have on Excel and it could easily be understood by others should I fall off the planet. I find working with a budget to be very empowering actually.
Because I have only minimal super I’m also saving for a trip to Bali next year and then an Aussie road trip in a few years. Mind you the Savings A/C balance isn’t flash at the moment but it will be on track shortly.
Marg, good for you! I know exactly what you mean about the budget being empowering – it’s a great feeling to be in control. I hope the foot is all mended now! And do let me know if you’d like me to send you some sourdough starter – I’m sure I still have your address in my emails.. :)
Celia I would love to have some of your starter please. I’m up and about again and my youngest son ensured my backyard was safer with a lot of effort on his part I might add. It still hurts if I do too much but that’s to be expected given age factor. Have to say I did hit rockbottom for awhile but feeling much better now. Let me know cost so you’re not out of pocket. Thank you so much
It’s ok Marg, let me spot you the 60c stamp, as that’s all it’s going to cost me! :) I’ll get it in the post to you very soon. So glad to hear you’re feeling better! xx
Thanks for sharing your own personal and tried and true ways to live within your budget, Celia. It is hard to do- especially when times are getting tougher, jobs harder to find and keep, and prices constantly raising. I haven’t bought clothes from anywhere but a thrift/opportunity shop in years. I make my own laundry detergent, use hydrogen peroxide for mouth wash, make our bread, and trade bread for the garden produce that we can’t grow. Bartering is such a great way to keep from spending- I trade babysitting and knitting lessons for some other luxuries that I couldn’t begin to afford. We don’t eat out ofter because it is so expensive but also because I can make it better and cheaper at home.
There are so many low cost ways to enjoy life if you are willing to work a little harder and can negotiate your way around spending $$ and using ingenuity instead.
Heidi, you’re so good at cooking that if I lived with you, I’d never want to eat out! :) You’re so right – ingenuity is a gift from God when it comes to stretching a dollar! :) xx
Celia you are such an ongoing source of inspiration. Cannot thank you enough for taking the time to share your life.
I have the opportunity to acquire a good bread machine for free & wondering if should take the plunge to save some dollars although space is at a premium in my current kitchen. I read your posts about bread making/quality bread & am very very tempted. Just can’t commit to kneading & proofing manually.
Thanks again for providing the cues & examples for us all to use.
Kim, my friend Tandy makes amazing sourdough loaves in her breadmaker – here’s one of her posts:
http://tandysinclair.com/sourdough-bread-for-the-bread-maker-recipe/
Thank you for your kind words, it’s lovely to have like-minded people reading along with us! :)
We’ve started riding bikes everywhere. Doesn’t take that much longer, saves petrol or public transport fares, you feel better and see things you would have otherwise missed. Today we saw a field of sunflowers grown on a disused inner city block. Bizarre and gorgeous, and unexpected.
Good for you! Wild sunflowers must have been amazing, we have some self-sown ones in our backyard, and they’ve been glorious!
Great post, Celia. I was lucky to have parents who were frugal ~ they had no choice! That has stood me in good stead over the years and I’m lucky that I enjoy cooking. It must be terrible if it is something you dislike doing.
Just don’t ask me to iron anything. I’d rather clean the oven!
I use a local farm shop for fruit and veg and they have a ‘real’ butcher so my meat comes from there as well. Eggs come from a small producer locally and we have a Lidl store at the bottom of the hill which is really economical for store-cupboard produce. I have a delivery from Asda (part of the Walmart group) about every 3 weeks with heavy and bulky items ~ usually when on offer.
Pat, I’m not a fan of ironing either. I’ll do it though! Sounds like you’ve got the whole affordable living thing well thought out! :)
We bought our own coffee machine and you can buy the takeaway cups even with the lids so instead of buying a coffee on the way to work, we make our own instead. We also take our lunch to work as that’s a huge saving. I have plenty of room for improvement because like you say, this is an area that most of us need to work on xx
Charlie, little takeaway cups and lids sound cool – do the older teenagers use the machine too? I’m so impressed by all the folks who take a packed lunch to work!
Good practice. My mum’s mum used to tell me “Look after the pennies and the pounds will look after themselves”.
That’s it in a nutshell, Peter! Thank you! Hope all is well over your side of the world! :)
Excellent advice! Making stuff from scratch can be more fun anyway…and much more rewarding.
Deb, I still have that gorgeous bag you made me, and I absolutely love it! Thanks again.. :)
Interesting the coffee thing, after many years of barely drinking coffee I am drinking it once more and even go out for a coffee and a cake once in a while, I guess for me it helped in a therapeutic way, and I suspect for people who are maybe retired or spending too much time on their own, the coffee shop is worth the money for that benefit. Having said that to get a coffee and a slice of something or other for two people in our local well known chain is a lot of money – the other justification is that the coffee bars do employ people and we need to support our local economy and independent shops and cafes in particular. I am struck by how many people are in coffee bars. Mothers with babies in pushchairs, mums after school with their kids, older people having a sit down and a little hum of social stuff.
Of course what we really need are social places where we can meet up and not have to pay out much needed cash for the symbolic coffee etc which entitles you to sit there. This is where dogwalking comes in to its own, it allows the reticent english to chat away and socialize freely with strangers, where they wouldn’t dream of talking to someone otherwise. I saw a ‘borrow a pet to take it for a walk’ site the other day, which struck me as a great idea for people who would like to have a pet to fuss and go out with once in a while but not the full commitment.
Great post darling, I really like the way you write :) xx
Oh, I think going out for a coffee with friends or even for some personal R&R is great value for money! I guess the point I was trying to make was simply that we should be aware of where our money goes – when I worked in the city, I bought two takeaway coffees a day and never gave it a second thought, it was just a habit. And there was a perfectly good drip filter machine in the office!
I think the “borrow a pet” idea is wonderful – helps both sides out – those who would like to walk and talk, and those who struggle to keep up with their active pets! :)
Fantastic post, Celia!
Thanks Em! :)
A brilliant post Celia, I agree so much with you, We too are at pretty much the same point in life as you and make the small savings where we can, bigger ones where possible but just get so much more pleasure out of baking our own bread, growing our own veggies, making gifts, enjoying walks and beaches and all that nature gives us for free. I admit, when I was younger and earning more and spending more too – I wasted a lot, buying expensive brands I didn’t really want or need….but I wasn’t happier. In fact I was no where near as happy as I am now!
Chica, I have to agree, I wasn’t happier either. I get so much more personal satisfaction from spending hours cooking a meal that my boys devour than I ever did from eating at a fancy restaurant. That doesn’t mean we don’t eat out – we do – but not nearly as often as we used to when we were younger!
Brilliant post Celia! Pete and I are in the process of reassessing our financial needs, policies, medical aid etc. to also aid in our monthly expenditure.
Have a beautiful week ahead.
:-) Mandy xo
Good on you, Mandy! It’s amazing what you find when you take a good hard look – I remember many years ago we used to have two cars. When the cash crunch hit, we sold one – and never looked back. Our budget went from red to black overnight! :)
I’ve rediscovered the joy of gift making too – usually presents from allotment produce, and they go down a storm, gives me so much pleasure it’s ridiculous !
Claire, you know I’d LOVE to get anything from your allotment! And isn’t it fabulous how excited people are when we give away something we’ve grown or made? My hairdresser said to me last week, “you know, people bring all sorts of things for us at Christmas, bottles of Moet and the like, but the chocolate you gave us was the best present we’ve ever got..” You can imagine how happy that made me! :)
My daughter-in-law makes the most beautiful handmade gifts, and I treasure them. I know that not everyone has the time or energy to make their own gifts, or at least they think that, but the person receiving a handmade gift will surely appreciate it many times over. Thank you for such a lovely post, Celia.
Thanks Misky! Your DIL sounds wonderful! :)
She’s a treasure, Celia.I feel very lucky.
Amen, amen, amen! Patience, perseverance, and I might add, forgiveness. Over again, I have had to forgive the mistakes, some of them doozies, regroup and restart. Life has a way to bringing the unexpected at the most inopportune time … I can’t think of a single time we were fully prepared beforehand. BUT like you, now in our late 40s and early 50s, we feel like we’ve hit a stride.
Great post, Celia, encouraging and honest. :)
Judy, I wish there was some way we could convey that to all those who are twenty years younger. I tried in this post, but I do wonder if it’s something that has to come with experience. Thank you for joining in, and you’re absolutely right, forgiveness is important, it’s hard to move forward when we’re beating ourselves up. xx
What an excellent post Celia. I think when you are young you don’t think about saving but if we all started then it would make life in later years much easier. I wish I could convince my children to be prepare for the unknown. :)
Karen, as I was saying to Judy, I wonder if it’s possible to convince our kids that they’re not bulletproof. We can only keep trying, but they might just have to learn the hard way. I guess for a while, we’ll have to continue to be their back-up plans. :)
I wonder what will happen when we can’t back them up anymore? You are right…the lesson of life aren’t easy sometimes.
Brilliant post Celia! I especially like “None of these items used “cheap” ingredients, but they were all reasonably economical to make, particularly compared to buying the finished item. In addition, they were unique, made with care, and greatly appreciated by the recipients.” Buying quality can make an enormous difference, this touches on a thought I’ve been having for a blog post. Thanks for this wonderful post.
Thanks Rose! Look forward to reading it! I think what people often don’t realise is that time is money. So we can temper expensive Belgian chocolate and still only end up spending a fraction of what much lower quality chocolate retails for. I had a blog post drafted specifically on how much chocolate costs, but it never quite came together! :D
I love posts like this. So inspiring! I am moved to change a habit or two … little things add up
Azita, thank you, and yes, they really do, don’t they? It took me ages to wrap my head around it though… :)
Such a thought provoking post Celia. And you’re right no matter what you earn it’s easy to live beyond your means. I sometimes think I had more disposable income when I was younger and carefree than in later years even though my income was far more.
Richard is thankfully a saver and I’m a spender but he has made me more mindful. Now if I ‘want’ something I wait 3 months and often I’m surprised that the one thing I ‘needed’ is no longer important.
Nancy, I sometimes wonder if having more is just more to manage and worry about. Which is why so many Buddhist monks are so cheerful.. :)
FANTASTIC tips Celia. Thanks for sharing.
Its a good reminder to be careful of our money and use what we have wisely.
Thanks Sandy.. xx
Well done, Celia – such wisdom xx
Thanks Vick – wish I’d known it all when I was working for you – I was just 21 at the time (same age as Big Boy is now)! :D
You are so right. I did stupid things during the financial crash where we lost most everything. I used what we had left to keep our staff on for a year when it was obvious things weren’t getting better and that was just plain dumb. It’s not difficult to live within your means but it does take effort and planning. GREAT post.
Maureen, I’m so sorry to hear that! I hope you guys are ok now.. xxx
Wise words. The underlying theme, that you find the process empowering, is the key to living within your means. I find using hard cash the best way to keep a tight rein. It’s doesn’t seem like spending when I just enter my password to buy ebooks or whatever while playing on the ipad – well, not until the bank statement arrives and then it’s too late.
Anne, online stuff really IS a little too easy to buy, isn’t it? I know I find the Amazon one-click thing deadly.. :)
*Fabulous* post, Celia. Good on you for not only figuring out earlier than most that it’s not just alarmists and skinflint curmudgeons but practical and (therefore, I would add) contented people who don’t think they need all of the Stuff and the fancy labels and the exotic things but are willing to plan and save for Enough. It’s truly a joy to understand what matters to us most and seek that rather than what we think—or marketers tell us—we’re supposed to want. Well done, my friend.
Kathryn, thank you, that’s very kind. I do like stuff, I think we all do, but I try not to covet things any more. It’s not worth the angst of credit card bills and unsecured debt! :)
the gift giving thing is ridiculous, I feel physically ill at Christmas time seeing the excess that some people go to. A good friend happily told me she spent about 4500 dollars on gifts alone this year.
Brydie, it’s quite nuts, isn’t it? I think my friend spent about the same amount – on family alone! I’m glad we don’t do that – I’m sure Christmas would be far more stressful if we did! :)
I wish there were a button to push that said “love” this post because I think it offers so much wisdom and sound advice. Unfortunately I think a lot of that comes with age and experience. You are so right in that you just never know what’s going to come up & smack you in the butt. I’ve tried to instill the idea of saving, even just a little in my daughter but I also know how hard it is for her to live in the city – Boston has horrendous rents and her basic expenses just eat away at the paycheck. But there are little things she does to try to keep her money away from impulse buying – one being that she opened an account in our name. She’s also started the new year with putting $3/day in an envelope. I’m not exactly sure that the money is for but it’s money that she’s dedicating to something that she finds very important.
I find that just as we feel comfortable financially, now my husband will be retiring and it’s going to be an adjustment to live on less. Those are the things you don’t think about when you’re young but especially now, here in the States with companies that don’t offer retirement plans, it’s critical. I know we’ll manage but sometimes it makes me nervous thinking about the next banking crash or a another health crisis.
I guess the best advice that I try to offer my daughter is to try to save money for things that will increase in value, like a house rather than renting and to skip the latest fashions because they’re only in style for one season for a reason – so you’ll buy more.
Since you eat every day that’s a great way to cut back as well as having a garden. I’ve found myself turning down the heat this winter and remembering to turn off lights that I’m not using. Whew…I did go on didn’t I?
Diane, you’re welcome to go on any time you want. :) I think it’s wonderful that Niki already does so well with her money. And you’re right – the minute we start to feel comfortable and complacent, something else crops up. We’ve had that happen so many times now that I just don’t have the nerve to spend right down to the last dollar. xx
Great post. I save plenty by being self-sufficient (for most of the year) with veggies from my garden. My daughter and son-in-law reorganized their garden 2 years ago making it more efficient and are amazed at how much they saved.
Norma, that’s wonderful that you’re self-sufficient – we’re close in some veg, but we still have to buy onions, potatoes and most of our fruit. Even so, it’s amazing how much even a little bit of home grown produce saves in dollar terms! :)
[…] On a more positive note.. check out my friend Celia’s blog where she writes about “Living Within Our Means”. […]
Thanks for this lovely post. We can live “Rich without money”. Don’t get me wrong, nothing gives me that feeling of zen calm like having money in the bank. But being able to make things is so empowering. Hugs, Maz
Maz, it’s such a joy, isn’t it? I’ve been spending a bit of time crafting lanterns, and every time I do something with paper, I think of you! :)
What a wonderful post Celia! J and I have been making a conscious effort over the last 12 months to really look at how we’re saving and spending. We have had times where we have had absolutely no income and have still had to survive. I’m forever surprised that a friend of J’s who has at least a 6-figure income lives from pay check to pay check, because he can’t grasp the concept that it may not be there one day. Thank you for sharing your knowledge!
Clare, I think you and J are amazing to have your heads wrapped around all this while you’re still so young! And I’ve known people on massive incomes who lived from pay to pay – the ability to live within our means doesn’t seem to correlate with our income, it’s something all of us can learn, and sadly, some never seem to figure it out.
Thank you for the empowering advice and attitude. It’s all about choices, and you presented some great ones!
Thank you! :)
This is one of those posts that I will keep coming back to. You make it seem so simple – but its those things like not buying a coffee everyday, or avoiding processed foods that save you the big bucks over time. I will start making more of my own food. And I will think of you everytime.
Vita, thank you! It’s amazing how quickly the really little things add up – hard to believe it at the time, that just a few dollars a day can end up as so much in a year!
I thoroughly enjoyed reading this post, and it is so refreshing to see what everyone has to say about this topic. As you mentioned, it’s a great place for ‘like-minded’ people to gather and share ideas. I also think it is very important to keep each other motivated and inspired as falling off the wagon into a spending spree can be too easy these days! Thank you Celia for taking the time to write this :)
On that note- do you have any tips on how to keep the cost of school lunches down? My little guys enjoy my homemade snacks and bread, but they want the sugary, overpriced snacks & juice boxes that their school mates have. I just don’t buy that stuff, yet I don’t want to be ‘that mom’ either. It’s crazy how $$$ some of this packaged stuff is! Any advice would be great! xx
Thanks Em! It’s hard – kids like doing things their other friends are doing, at least when they’re little. It’s too hard to fight sometimes, but we did draw the line at some of the REALLY rubbishy stuff. I think as they get older, they’ll soon figure out that mum’s cookies and homemade treats leave the bought stuff for dead! :)
My only suggestion might be to try dressing up the lunch box treats a bit – colourful bags or stickers, maybe? I thought this father’s approach was very cool…
http://blog.flickr.net/en/2013/04/19/dad-illustrates-kids-sandwich-bags-with-imaginative-drawings/
Celia- that link is brilliant! How creative! Sadly, I can barely draw a stick figure but I do like your idea of using colorful bags and stickers. That would be perfect for us actually. Dillon is obsessed with numbers & letters and we have millions of those stickers (everywhere). Maybe I’ll have him stick his name onto his sandwich to get him involved… my mind is going now! Thanks so much Celia. I really appreciate the tips :) xx
Ahh! My typos are out of control (and drives me nuts) We have a couple of ‘sticky’ keys. Kids!!!!!
Don’t worry Em, I fixed them. :D Can’t wait to see how bright and colourful Dillon’s lunch box ends up! :)
Dear Celia I have received the starter, thank you very much. I have read your instructions, have a jar ready and will access some filtered water today. I decided that the choosing of a name must be meaningful and so with this in mind my starter is called “Ha daughter of Priscilla’. Ha is a Vietnamese female name meaning ‘kiss of life’. I figure that is appropriate given the job it does. Thank you so much and I will certainly let you know how I go with all this. Feeling rather excited about this new adventure actually. Kindest RegardsMarg
That’s a great name, Marg! I hope Ha brings you lots of joy! :)
Happy Chinese New Year to you and your family Celia! Just catching up on posts, really enjoyed reading your wise words and everyone’s comments…one can learn so much by sharing and like Vita said I shall be coming back to this post. I gave up my salaried job last year and am now self-employed (as is my husband), so this is very timely for us, thank you! X
Danielle, exciting times! Hope the Year of the Horse brings you all the very best! :)